Reviewed by: MyTaxRebate Team | Last updated: 2026-02-26 | Checked against Revenue TDM Part 15-01-41.
Quick Answer
SPCCC relinquishment is the process by which the primary claimant formally gives up their entitlement to the credit so that a secondary claimant — usually the other parent of the qualifying child — can claim it instead. The primary claimant does this through the SPCC1 process with Revenue. It is not an automatic or instant transfer: timing rules apply, and the secondary claimant must independently satisfy the personal eligibility conditions for the credit. Relinquishment is typically used when the secondary claimant would benefit more from the credit than the primary claimant.
What this page covers
- What SPCCC relinquishment means and when it applies
- Why a primary claimant would formally give up their entitlement to the credit
- The income-based reason the secondary route often makes financial sense for families
- How this differs from splitting or sharing the credit between two parents
- How the SPCC1 process works
- What the primary claimant must submit to Revenue to formally relinquish
- How the secondary claimant activates their own claim following relinquishment
- Why both parties' submissions must be consistent and aligned
- Timing rules and common errors
- When during the tax year a relinquishment takes effect
- Why back-dating a relinquishment arrangement is not straightforward
- How to cancel an existing relinquishment when circumstances change
SPCCC Key Facts
- Relinquishment is an all-or-nothing transfer: the primary claimant gives up the credit entirely for the period relinquished.
- The secondary claimant must independently meet all personal SPCCC qualifying conditions, including the no-cohabitation rule.
- Relinquishment generally takes effect from the tax year in which it is processed, not from a prior year.
- Both parties must submit consistent, aligned information to Revenue for the transfer to work cleanly.
- An existing relinquishment can be cancelled, but cancellations are also subject to timing rules.
- The relinquishment route is typically used when the secondary claimant has higher income and benefits more from the rate-band extension.
Key Takeaways
- Relinquishment is all-or-nothing: the primary claimant gives up the credit entirely for the relinquished period.
- Both the primary and secondary claimants must independently meet all personal SPCCC qualifying conditions.
- Relinquishment generally takes effect from the tax year it is processed — it does not apply retrospectively.
What SPCCC Relinquishment Means
Under Revenue rules, only the qualifying individual with whom the child resides as their primary carer can claim the SPCCC as of right. This is the primary claimant. However, Revenue rules also provide a mechanism for the primary claimant to relinquish — formally give up — their entitlement so that another qualifying individual can receive the credit in their place. This is the secondary claimant route. For a full explanation of the primary and secondary claimant framework, see our guide to SPCCC claimant roles.
Relinquishment is not a split or a share of the credit. The primary claimant gives up the credit entirely for the relevant period, and the secondary claimant then receives the full credit. It is an all-or-nothing transfer, and only one of the two can hold the credit at any given time.
The relinquishment route is most commonly used in separated or divorced families where the parent who does not have primary day-to-day care — and therefore is not the primary claimant — has a significantly higher income and would benefit more from the combined credit and rate-band extension.
The SPCC1 Process: How It Works
The SPCC1 is the Revenue process through which a primary claimant formally notifies Revenue that they are relinquishing the SPCCC. The primary claimant submits the required details to Revenue, confirming their own eligibility status and that they are relinquishing in favour of a named secondary claimant.
The secondary claimant must separately notify Revenue that they wish to claim the credit following the relinquishment. The secondary claimant must meet the personal qualifying conditions independently: they must be single, widowed, separated, or have a dissolved civil partnership, and must not be cohabiting as a couple. These qualifying conditions — including the no-cohabitation rule — are explained fully in our SPCCC eligibility guide.
Both parties submitting consistent, accurate information is essential to the process working cleanly. Inconsistencies between the primary and secondary claimant submissions — such as conflicting information about the child's residence or each party's status — can cause Revenue to query the arrangement and delay the credit being applied.
Timing: When Relinquishment Takes Effect
Relinquishment is not retroactive by default. The timing of when a relinquishment takes effect has practical implications for which tax year the secondary claimant first benefits from the credit. In general, a relinquishment takes effect from the tax year in which it is processed, not from an earlier date.
This means that if the goal is for the secondary claimant to benefit from the credit for a specific tax year, the relinquishment must be processed during that year or in the appropriate period when that year is still open for amendment. Planning ahead, rather than attempting to apply relinquishment retrospectively, produces the most predictable outcome.
Where a relinquishment has been in place for multiple years and the parties' circumstances change — for example, if the primary claimant's income increases so that the credit becomes valuable to them again — the primary claimant can cancel the relinquishment. Cancellations are also subject to timing rules, and the practical effect depends on when the cancellation is processed within the tax year.
What Happens After Relinquishment
Once a valid relinquishment is processed, the secondary claimant receives the SPCCC on their tax record. This means they benefit from both the €1,900 credit and the rate-band extension. For a secondary claimant with income above the standard rate threshold, the combined benefit can approach €2,700 depending on their income level. The income-dependency of the rate-band extension is explained in detail in our guide to how much SPCCC is worth.
The primary claimant, having relinquished, does not receive the credit for the period the relinquishment is in effect. They should ensure their own tax record reflects the relinquishment correctly to avoid errors in their tax position.
It is good practice to review the relinquishment arrangement periodically, particularly if either party's income or circumstances change. What was an optimal arrangement at the time of relinquishment may not remain so if household or income facts shift in subsequent years.
Common Errors in the Relinquishment Process
The most frequently encountered error is treating relinquishment as if it can be applied instantly and retrospectively to any year of choice. In practice, the timing of the SPCC1 process determines which year the secondary claimant first benefits, and attempting to back-date the arrangement beyond what Revenue rules allow is a common source of confusion and incorrect claim submissions.
A second common error is the secondary claimant attempting to claim the credit without the primary claimant having formally completed the relinquishment process. The secondary claimant cannot simply assert entitlement: the prior relinquishment by the primary claimant is a prerequisite, and without it, the secondary claimant's submission will be refused.
Relinquishment scenarios
Primary claimant relinquishes to higher-earning secondary claimant
A mother with two children was the principal carer and therefore the primary SPCCC claimant. Her income was modest and she was not paying higher-rate tax, meaning the rate-band extension element had no value to her. The children's father had a higher income and would benefit significantly from the rate-band extension. After taking advice, the mother completed the SPCC1 relinquishment, and the father — who met all individual qualifying conditions — began claiming the credit from the following tax year.
Relinquishment timing misunderstood
A primary claimant attempted to arrange a relinquishment in January of the following year, expecting it to apply retrospectively to the previous tax year. The relinquishment was processed, but Revenue applied it from the current year only. The secondary claimant did not benefit for the previous year, as the timing rules did not permit a retrospective application. Planning the relinquishment within the correct tax year period would have avoided this gap.
Relinquishment cancelled after circumstances changed
A primary claimant had relinquished the SPCCC to a secondary claimant for three years. When the primary claimant's income increased substantially, she reviewed whether the relinquishment was still tax-efficient for the family. After a review of both parties' income positions, the relinquishment was cancelled and the primary claimant resumed claiming the credit from the following tax year.
Common mistakes to avoid
Attempting to back-date relinquishment beyond what Revenue rules allow. The SPCC1 relinquishment generally takes effect from the tax year in which it is processed. Assuming it can be applied to prior years — or submitted late in a year and expected to cover the full year — is a frequent planning error that leads to outcomes that do not match expectations.
Secondary claimant submitting without a completed primary relinquishment. The secondary claimant cannot access the SPCCC independently. The primary claimant's formal relinquishment through Revenue is a prerequisite. A secondary claimant who submits a claim without this step completed will have the claim refused.
Not reviewing the arrangement when circumstances change. A relinquishment that was tax-efficient at the time of setup may become suboptimal if either party's income or household circumstances change significantly. The arrangement should be reviewed periodically, particularly after a major income change, to confirm it still produces the best overall outcome.
When this may not apply
- Primary or secondary claimant does not meet personal qualifying conditions. Both parties must independently satisfy the SPCCC personal conditions — single or separated status, no cohabitation — for the relinquishment route to work. If either party fails this test, the credit cannot be transferred.
- Secondary claimant is cohabiting during the year of the claim. Cohabitation as a couple during the year disqualifies the secondary claimant from receiving the SPCCC, even where the primary claimant has formally relinquished. The eligibility conditions apply to the secondary claimant independently.
- Primary relinquishment has not been formally completed. A secondary claimant cannot assert entitlement unilaterally. Without the primary claimant completing the SPCC1 process first, any secondary claim will be refused, regardless of merit.
Related SPCCC guides
More SPCCC guides
Do not leave this to chance
If your SPCCC case has any complexity — shared custody, a rejected claim, backdated years, or household changes — the most reliable path is professional handling. We build, submit, and defend claims with a no-refund-no-fee model.
Frequently Asked Questions
Can a primary SPCCC claimant relinquish the credit at any time?
Relinquishment can be processed at various points, but timing rules determine when it takes effect. In practice, it is most effective when planned in advance of the tax year rather than retrospectively. A professional review of your specific situation will confirm the most effective timing for your circumstances.
Does the secondary claimant receive the same amount as the primary claimant would have?
Yes, a valid secondary claimant receives the full SPCCC — both the €1,900 credit and the rate-band extension — provided they meet the personal qualifying conditions. The rate-band element is income-dependent: it produces its maximum value when the claimant's income extends into the higher rate band.
Why use a professional service for relinquishment cases?
Relinquishment cases require both parties' submissions to be consistent, the timing to be planned correctly, and the ongoing arrangement to be reviewed as circumstances change. Errors in the SPCC1 process can cause the credit to be unavailable to either party for a period. Professional handling reduces this risk significantly.
Official Revenue Guidance
For authoritative SPCCC rules, refer to Revenue Tax and Duty Manual Part 15-01-41. This is the primary source document that defines all eligibility conditions, the relinquishment process, and the technical rules governing the credit.